House Democrats’ relief plan does not change income limits for $1,400 stimulus checks – CNBC
House Democrats released more details about their coronavirus relief bill late Monday, which includes $1,400 stimulus payments for Americans at the same income levels as previous rounds.
For the past week, there were reports that the Democrats might lower the income eligibility thresholds for stimulus checks from the previous two payments. But the text of the new bill includes $1,400 payments for individuals earning up to $75,000 per year and their dependents, and $2,800 for married couples earning up to $150,000. That means a family of four that meets all of the eligibility requirements would receive $5,600.
The income, which is based on a taxpayer’s adjusted gross income (AGI), can be from the 2019 or 2020 tax year.
The stimulus payment phases out between $75,000 and $100,000 in AGI for individuals and between $150,00 and $200,000 for couples filing jointly. Heads of households will get the full amount if they earned up to $112,500, and it will phase out completely at $150,000.
Adult dependents, previously excluded from receiving stimulus checks, are eligible for the third round under the House plan. This includes many college students, disabled adults and elderly Americans who are claimed on someone else’s tax returns.
Many households will get significantly more money under this framework than they did in the first two rounds. For example, a two-parent household with an 18-year-old dependent that met the income eligibility requirements would have received $2,400 in the first round. Now, they could get $4,200.
The House is reportedly working on other parts of the relief package, which is expected to closely mirror the $1.9 trillion plan President Joe Biden released in January.
This version of the bill will be voted on by the House Ways and Means Committee this week.
This is a developing story.
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Published at Mon, 08 Feb 2021 23:54:00 +0000